1. NATO PERFORMANCE MANAGEMENT
22/04/2017
NATO PERFORMANCE MANAGEMENT
Intensive HRM Training Day
Dr. Eric Welch
Head, Talent Management and Organizational Development
NATO HQ

2. “The management of an organization’s workforce”

3. Human Resource Management Process
Describe the profile
Identify the person
Train/ Develop the person
Design the posts
Strategy and Requirements
Performance (Organizational and personal)
In order to Identify the Person (i.e. Recruit and Select), we have to know what we’re looking for. Post descriptions and vacancy notices are our tools for that.

4. Policy and Strategy Coordination Staff Services
Director HR
Policy and Strategy Coordination
Staff Services
Management and Organizational Support
Recruitment
Talent Management and Organizational Development
HR Advisers

5. Performance Review and Development (PRD)
Why
History
What we’re doing
How it works
Current challenges

6. Ensure managers communicate with staff about how they are performing
Why PRD?
Ensure managers communicate with staff about how they are performing
Provide a basis for effective HR decision-making (e.g., step increases, contract decisions, recruitment)
Improve and standardize management practices across the Organization
Promote and support individual development
Help ensure strategic objectives are met

7. 2005 – Performance Management 2009 – discontinued electronic system
PRD History
2005 – Performance Management
2009 – discontinued electronic system
2010 – PRD creation and launch

8. PRD Ongoing Goals
Provide information to the Organization to be able to make personnel decisions based on performance
Motivate staff by providing appreciation for their efforts and developmental feedback tailored to their situation and aspirations
Motivate staff by providing them explicit understanding of how their objectives and efforts are consistent with Organizational priorities
Improve Organizational performance by providing mechanisms to deal with poor individual performance
Who

9. Starts following the successful completion of the probationary period
PRD Cycle Overview
Starts following the successful completion of the probationary period
Phase 1: Objective setting
Phase 2: Mid-term review
Phase 3: Annual review
Objectives, competencies, overall performance
Calibration
Performance Improvement Program (PIP)

10. How: Phase 1: Objective setting
Set and discuss:
the results to be achieved
how these will be measured
by when
Consider:
competencies
development/training topics
Review the job description
How

11. What are the most important things required in the job?
Objectives
Cascade
Focus on:
Goals or projects for the year, OR
Daily operational tasks based on result areas in the job description
What are the most important things required in the job?
What is the staff member expected to achieve in these areas?
What behaviors (competencies) will the staff member have to demonstrate?

12. Specific: clear, unambiguous, straightforward, understandable
SMART Objectives
Specific: clear, unambiguous, straightforward, understandable
Measurable: assesses quantity, quality, time, budget, resources
Agreed: the meaning of the objective is agreed between the parties
Realistic: challenging, but within the capabilities of the staff member
Time-related: to be completed within an agreed timescale

13. Example objectives: Assistant
Description of objective:
Coordinate the XYZ Conference to include advertising, supporting the conference center in the updating and organization of the program, liaising with Procurement on the contract, and liaising with NATO-wide and Partner contacts.
Measurement:
1. Advertise the conference in January 2013 and draft list of potential speakers for review by Divisional leadership before end-April 2013.
2. Contract signed with conference centre by June 2013.
3. Coordinate preparations and logistics leading up to Sep 2013 conference.
4. Participate in lessons-learned discussions in Oct 2013.
Description of objective:
Support Head ABC in the daily management of his office, tasks and information flow, with focus in mid-year on the transition to new structure. Manage the section’s budget.
Measurement:
1. Queries and requests are dealt with as quickly as possible taking into account all necessary aspects - to the satisfaction of customers and Head ABC.
2. In the event of conflicting priorities, launch an automatic discussion of workload impact.

14. Example objectives: Officer
Description of objective:
Develop financial plans that superiors consider useful for making decisions.
Measurement:
1. Prepare and submit financial plan for XYZ project by March 2013.
2. Revise as necessary following feedback.
3. Submit final version to committee in June 2013.
Description of objective:
Engage in identifying and implementing strategies to improve productivity.
Measurement:
1. Participate in the implementation of the ERP.
2. Following identification of the implementing consultant, coordinate efforts between Division staff and consultants for implementation. This is expected to happen in Q3 and Q4, and could require approximately 20% of the staff member’s time.

15. How: Phase 2: Midterm Review
Re-examination of objectives and training topics
Confirmation of their continued relevance or need to change them, if necessary
Opportunity for either party to raise any concerns about performance (if applicable)

16. How: Phase 3: Annual Review
Two steps: Performance review + calibration
Formal opportunity
Progress the staff member has made towards:
their individual objectives
competencies
Proposed rating

17. Performance review - Competencies
Behaviors that are required for successful performance in the job
PRD assesses the extent to which a staff member demonstrated the required competencies during the performance cycle

18. Ratings
Exceptional – in a properly managed organization, only a handful of people earn this rating occasionally throughout their career
Excellent – this rating is normally reserved in most organizations for just a small proportion of high performing staff
Very good –this is the rating used by organizations for the significant amount of staff whose performance is clearly better than the standard one
Good – this is the expected rating for everyone in a good organization. The most frequent one
Fair – this is the rating used by organizations for the small amount of staff whose performance is proficient but requires improvement
Unsatisfactory – most organizations have some unsatisfactory performers, but they are a very small minority in most cases

19. To improve consistency and fairness
Calibration
To improve consistency and fairness
To make sure managers apply similar standards for all staff
To eliminate bias as much as possible
To promote discussion of performance expectations at all levels
To bring outstanding and poor performers to the attention of top management

20. 2014 cycle Timeline FEEDBACK Annual Review 2014 You are here
Objective Setting 2014
Annual Review 2014
Mid-term Review
Objective setting 2015
Annual Review 2013
Calibration
January – Feb.
January – Feb.
June - July
You are here

21. Performance Improvement Program (PIP)
Why
To help staff get back on track
Provide framework for managers to address performance issues
Two phases
Preliminary phase
IP Program phase
What about perf problems
Why – improve or fire
Who –
How -

22. Or after a final rating of “Fair” Up to 180 days
1. Preliminary phase
Whenever an aspect of performance needs improving, at any time during the year
Or after a final rating of “Fair”
Up to 180 days
Use an Improvement Monitoring Form

23. 30-90 days (+ 30-90 day extension if needed)
2. IP Program phase
30-90 days ( day extension if needed)
After an unsuccessful Preliminary Phase, OR
After two consecutive final ratings of “Fair”, OR
Any time a staff member is not working up to requirements in a critical area
Action plan established
If unsuccessful, leads to termination of contract

24. Un- satisfactory result
“Unsatisfactory” rating in AR
Two consecutive ratings of “Fair” in AR
Unsuccessful Preliminary phase
IP Program
IP Action Plan starts
max. 1 x
Training ?
Decision
Un- satisfactory result
Satisfactory results
IP file closed
Back to normal performance
Extension
Ground for dismissal

25. 2012 Results
Overall, the 2012 cycle has again been a successful exercise. Completion rates are high, timelines were generally respected, and there have been good conversations about performance between managers and staff, and managers and reviewing managers.

26. Current challenges in PRD
Expanding the PRD system NATO-wide
Developing a performance-based reward system
Implementation of new tools and workflows due to ERP
What, Why, Who, How

27. Organizational Design and Development Performance Review & Development
Objectives: I will set
them with my manager
NATO’s Objectives & Needs
Mid-term: we will review progress
My Post Description
Annually: I will be evaluated on
my work and on …. My
Competencies
My Result Areas
My Languages
Because of different job families and work levels
My IT
And if I want OR I need, I can
further develop my
Competencies…………. ME
IT Training
Competencies
training
Language Courses
NATO Executive
Development Programme
Management
Development Programme
Training and Development
Pre-deployment training
Senior Circle
Leadership Journey

28. North Atlantic Treaty Organization
Eric Welch, Ph.D.
North Atlantic Treaty Organization
+32 (0)

29. Where: HR Service Portal
Staff Skills Database
Purpose: mechanism to expand capabilities in times of crisis (Surge Capacity) using existing resources from other divisions
What it is: individual profiles completed and maintained by staff members – focus on the skills not used in the normal job
Where: HR Service Portal
Additional benefit: ad-hoc support for short-term help on other projects and initiatives

30. Inputs: Identify skills Education and Languages
Skill Categories, Areas, and Topics
Professional Interests
References
Career Goals and Expectations (HR eyes only)
Menus and free text

31. Structured + Free text search options Production of CV-type reports
Meet needs
Structured + Free text search options
Production of CV-type reports
Open to all staff, on request
Result: 180 unique visitors, 60 profiles, 70 searches within 30 days of implementation
Next steps: Increase usage, expand to other NATO bodies, create Surge Capacity Pool